A NEW WAY TO PAY

When the majority of salons across the country reopened in summer 2020, it was not business as usual. Clients were desperate for appointments, owners faced social distancing and capacity restrictions, and stylists were scared to return to the salon.

But owners quickly conquered COVID-related issues, investing in PPE, rearranging or remodeling their businesses to accommodate new spacing between chairs, and adjusting hours to ensure guests got in and stylists worked their necessary hours.

Many owners also tacked on a sanitation fee or simply raised prices in order to pay for additional expenses and the rising cost of supplies. And when the long, bumpy road that was 2020 finally swerved into 2021, everyone was ready to pull over and catch their breath.

HIGHER PAYCHECKS AND HIGHER PROFITS

Going into 2021, owners found themselves struggling with new issues. At the forefront: recruiting and retaining new employees and meeting the demands of their current staff.

Stylists no longer wanted to work nights and weekends, valuing their personal time more than ever, and new stylists were few and far between.

The results? Owners are offering more flexible hours and better compensation packages to remain competitive.

While commission has always been the standard compensation structure of the beauty business, some owners are finding an hourly rate yields a higher paycheck for their team members and higher profit for their business.

To learn more, we asked a few of the 2022 Serious Business speakers to share their experience with compensation in the salon this year.